STI rebounds after two days of big losses

THE Straits Times Index (STI) on Thursday closed at 3,091.78, regaining 30.29 of the 136 points it had lost during the selloff on Tuesday and Wednesday.

The broad market, excluding warrants, recorded 256 rises versus 190 falls, so the index's bounce did not reflect widespread strength, while volume amounted to 1.44 billion units worth S$1.4 billion, of which S$1.03 billion or 74 per cent was done in the 30 STI components.

Stock markets around the world have been hit this week by a shock move by the Chinese authorities to devalue the yuan, either because it will help boost exports and revive a slowing economy or because with a market-determined exchange rate the yuan would be given th…